Tallahassee Real Estate Market Faces Declines in November 2024

News Summary

The Tallahassee real estate market is experiencing challenges as November 2024 ends, with a significant drop in single-family sales. Reports indicate a decrease of 8.5% in sales transactions compared to the previous year, amidst a broader trend across Florida. Despite this decline, the median price for homes has seen a slight increase, raising questions about market dynamics. Issues such as a housing crisis and insufficient land for new construction further complicate the landscape, as experts watch closely for potential changes in mortgage rates in the coming months.

Tallahassee Real Estate Market Faces Challenges in November 2024

As the sun sets on November 2024, Tallahassee is experiencing some noticeable shifts in its real estate market. Recent reports show that Florida Realtors have recorded a decline in single-family sales, echoing trends seen across the Sunshine State. This month, Tallahassee, the vibrant capital of Florida, saw a tantalizingly low number of single-family sales transactions and a few intriguing price shifts.

Sales Numbers Drop in Tallahassee

247 single-family sales, which is an 8.5% drop compared to November 2023. This decline is part of a larger trend, with year-to-date (YTD) figures revealing a 3.3% decrease in transactions, totaling 3,303 sales so far this year. The overall numbers tell a story of a market that is experiencing some hurdles.

Price Point Adjustments

Interestingly, even with the drop in sales, the median price for single-family homes in Tallahassee actually increased by 1.1% compared to last year, resting at $321,025 for November 2024. This adds a complex layer to the market dynamics. On a broader scale for the year, the median sales price in the region is up by 2.4%, sitting comfortably at $329,800.

Florida’s Statewide Trends

17,095 single-family sales in November, which represents a 3.5% decrease compared to the same period last year. However, the median price of homes state-wide took a tiny dip, clocking in at $410,700—a 0.6% decrease from November 2023. Confusing, right?

Looking at year-to-date numbers for the state, although Florida experienced a 3.1% decline in transactions, the median price for single-family homes still saw a rise, coming in at $420,000, which is a 2.4% increase year-over-year.

Bumps in the Road for Higher-End Sales

$750,000 and above—are taking a bit longer to find buyers. This could be tied to broader economic factors, including ongoing inflation and climbing interest rates, which tend to make potential buyers more cautious with their wallets.

A Housing Crisis and Future Outlook

A Glimpse Ahead

6% in 2025, which could positively impact the market. In the meantime, nine of Florida’s 22 metropolitan areas reported increased sales transactions in November compared to last year, hinting at pockets of resilience amidst the challenges.